The Property Council of Australia has today welcomed the Coalition's announcement that, if elected, it will reform Australian Prudential Regulation Authority (APRA) standards to drive home ownership.
Announced at the Property Council's National Housing Solutions Summit in Melbourne today, the Coalition committed to requiring APRA to adjust capital treatment of loans backed by Lenders Mortgage Insurance and a reduction of the serviceability buffer for home loans.
Property Council Chief Executive Mike Zorbas said it is important that mortgage settings back the goal of homeownership, particularly among first-home buyers.
"Australia's financial system is stable and well-regulated, and we welcome a framework that achieves both appropriate safeguards and access to homeownership in equal measure," Mr Zorbas said.
"Sadly, it has never been harder for first-home buyers in this country.
"APRA should factor in first-time buyers when shaping regulations with an eye to boosting homeownership, maintaining balance and flexibility to adapt to changing conditions.
"With the correct financial and regulatory settings that appropriately manage risk, we can
support more first-home buyers to get into the market.
"As always, supply remains the key consideration for making housing more affordable for
Australians.
"To address this, we must streamline regulations, grow our construction workforce and remove investment-repelling taxes to support more home delivery across the country," he said.
